Inflation Crisis Continues As Prices Rose Sharply Last Month

The inflation crisis continued last month as prices rose at a rapid rate, according to a new report from the Bureau of Labor Statistics. 

The report said that the Consumer Price Index for All Urban Consumers (CPI-U), which is a key metric used to measure inflation, “rose 0.4 percent in February on a seasonally adjusted basis, after increasing 0.5 percent in January.”  

The monthly increase was primarily driven by a rise in the price of shelter, which rose 0.8 percent last month. 

On an annual basis, prices rose 6.0 percent. While that rate is the smallest annual increase since September 2021, the rate is still  triple the level of the Federal Reserve’s target rate.

Due to the inflation crisis, the real wages of American workers fell last month, according to a separate report. 

“Real average hourly earnings for all employees decreased 0.1 percent from January to February, seasonally adjusted,” the report said. “Real average weekly earnings decreased 0.4 percent over the month due to the change in real average hourly earnings combined with a 0.3-percent decrease in the average workweek.”